Non-domestic rates relief for non-profit and charity organisations
Mandatory relief for registered charities
Where an organisation is a registered charity and the property occupied by the organisation
is used "wholly or mainly for charitable purposes", there may be an entitlement
to 80% mandatory rates relief. It is not sufficient that a property is owned by
a charity - the Council must determine whether a property is being used "wholly
or mainly for charitable purposes". Charity shops must be able to demonstrate that
they are used wholly or mainly for the sale of donated goods.
Using the discretionary powers available to it, the Council's policy is to top-up
the 80% mandatory relief with a further 20% discretionary relief. Download a mandatory
and discretionary relief application form.
Discretionary rates relief - Non-profit making organisations
Councils have discretionary powers to grant up to 100% rate relief to non-profit
making organisations, whether they are registered charities or not. To qualify,
an organisation must either be charitable, religious, or concerned with education,
social welfare, science, literature or the fine arts, or the property must be used
by a non-profit-making organisation and used wholly or mainly for the purpose of
recreation (sport). Recreational or sporting organisations licensed to sell alcohol
may also apply for relief, although the amount of relief awarded will reduce proportionally
with respect to bar turnover and catering sales.
At a meeting of the Council's Leadership Panel of 24 September 2008, members approved
a change to the Council's Discretionary rates relief policy. This was necessary
because of the legal obligations imposed on local authorities through the Equality
Act 2006. It was also considered appropriate that any revised policy should accord
with the Council's Gender Equality Scheme.
The Council requires that organisations and clubs demonstrate, through the inclusion
of an equity statement within their constitution and rules, a strong commitment
to equal opportunities for all sectors of the community, ensuring that all participants,
volunteers coaches or parents receive equal treatment regardless of age, gender,
marital status, employment status, social class, colour, race, ethnic or national
origin, religious belief or disability.
Sports clubs registered as community amateur sports clubs (CASCs)
Sports Clubs registered with Her Majesty's Revenue and Customs Service (HMRC) as
CASCs are entitled to 80% mandatory rates relief. Clubs wishing to apply for this
relief should provide the Council with a copy of their registration certificate.
Providing that this confirms the registration commencement date, no further application
is required. In the event that a club thinks it may be entitled to relief greater
than 80% under the discretionary relief scheme, the appropriate discretionary application
form should be completed.